India’s forex kitty shrinks by $1.39 billion
09 May 2009
India's foreign exchange reserves fell to $251.702 billion as on 1 May from $253.091billion a week earlier, marking a drop of $1.39 billion, the Reserve Bank of India said in its weekly statistical supplement on Friday.
Changes in foreign currency assets, expressed in dollar terms, include the effect of appreciation or depreciation of other currencies held in its reserves such as the euro, pound sterling and yen, the central bank said.
Foreign exchange reserves include India's reserve tranche position in the International Monetary Fund, RBI said. It added that the fall was mainly on account of a revaluation of currencies and a decrease in value of gold assets held by RBI.
Gold reserves declined by $346 million to $9.23 billion as the gold price declined in the week. The reserve position with the IMF remained unchanged during the week. Also, special drawing rights remained static.
During the period under review, foreign institutional investors bought equities worth $402 million (about 2,000 crore). The rupee appreciated to 50.26 levels on 27 April as against 50.09 levels on 25 March.
